Company Registration No. 02664746 (England and Wales)
THE PET SHOP BOYS PARTNERSHIP LIMITED
UNAUDITED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2019
PAGES FOR FILING WITH REGISTRAR THE PET SHOP BOYS PARTNERSHIP LIMITED
CONTENTS
Page
Balance sheet 1
Notes to the financial statements 2 - 5 THE PET SHOP BOYS PARTNERSHIP LIMITED
BALANCE SHEET AS AT 31 MARCH 2019
2019 2018 Notes £ £ £ £
Current assets Debtors 4 392,363 1,176,503 Cash at bank and in hand 399,286 211,795
791,649 1,388,298 Creditors: amounts falling due within one year 5 (1,478,329) (2,090,917)
Net current liabilities (686,680) (702,619)
Capital and reserves Called up share capital 6 100 100 Profit and loss reserves (686,780) (702,719)
Total equity (686,680) (702,619)
The directors of the company have elected not to include a copy of the profit and loss account within the financial statements.
For the financial year ended 31 March 2019 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.
The directors acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of financial statements.
The members have not required the company to obtain an audit of its financial statements for the year in question in accordance with section 476.
These financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime.
The financial statements were approved by the board of directors and authorised for issue on 11 December 2019 and are signed on its behalf by:
Mr C S Lowe Director
Company Registration No. 02664746
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NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2019
1 Accounting policies
Company information The Pet Shop Boys Partnership Limited is a private company limited by shares incorporated in England and Wales and its registered number is 2664746. The registered office is 5A Bear Lane, Southwark, London, SE1 0UH.
1.1 Accounting convention These financial statements have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the requirements of the Companies Act 2006 as applicable to companies subject to the small companies regime. The disclosure requirements of section 1A of FRS 102 have been applied other than where additional disclosure is required to show a true and fair view.
The financial statements are prepared in sterling, which is the functional currency of the company. Monetary amounts in these financial statements are rounded to the nearest £.
The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.
1.2 Going concern The accounts have been prepared on a going concern basis which the directors consider to be appropriate given their continued financial support.
1.3 Turnover Turnover consists of records royalties and advances, producer's royalties, fan club income, public performance income and sundry income net of value added tax. Royalty advances are recognised on the contractual due date or, where unspecified, the date of receipt of cash. All other income is recognised on a receivable basis by reference to the royalty accounting period ending within the year.
1.4 Tangible fixed assets Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.
Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:
Musical Equipment 25% per annum (straight line basis)
Changes in the fair value of derivatives that are designated and qualify as fair value hedges are recognised in profit or loss immediately, together with any changes in the fair value of the hedged asset or liability that are attributable to the hedged risk.
1.5 Taxation
Current tax The tax currently payable is based on taxable profit for the year. Taxable profit differs from net profit as reported in the profit and loss account because it excludes items of income or expense that are taxable or deductible in other years and it further excludes items that are never taxable or deductible. The company’s liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the reporting end date.
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NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2019
1 Accounting policies (Continued)
Deferred tax Deferred tax liabilities are generally recognised for all timing differences and deferred tax assets are recognised to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. Such assets and liabilities are not recognised if the timing difference arises from goodwill or from the initial recognition of other assets and liabilities in a transaction that affects neither the tax profit nor the accounting profit.
The carrying amount of deferred tax assets is reviewed at each reporting end date and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered. Deferred tax is calculated at the tax rates that are expected to apply in the period when the liability is settled or the asset is realised. Deferred tax is charged or credited in the profit and loss account, except when it relates to items charged or credited directly to equity, in which case the deferred tax is also dealt with in equity. Deferred tax assets and liabilities are offset when the company has a legally enforceable right to offset current tax assets and liabilities and the deferred tax assets and liabilities relate to taxes levied by the same tax authority.
1.6 Foreign exchange Monetary assets and liabilities denominated in foreign currencies are translated into sterling at the rates of exchange ruling at the balance sheet date. Transactions in foreign currencies are recorded at the rate ruling at the date of the transaction. All differences are taken to profit and loss account.
2 Employees
The average monthly number of persons (including directors) employed by the company during the year was 5 (2018 - 5).
3 Tangible fixed assets Plant and machinery etc £ Cost At 1 April 2018 and 31 March 2019 467,739
Depreciation and impairment At 1 April 2018 and 31 March 2019 467,739
Carrying amount At 31 March 2019 -
At 31 March 2018 -
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NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2019
4 Debtors 2019 2018 Amounts falling due within one year: £ £
Trade debtors 62,509 574 Corporation tax recoverable - 4,876 Amounts owed by group undertakings and undertakings in which the company has a participating interest 211,159 1,107,719 Other debtors 115,646 59,912
389,314 1,173,081
2019 2018 Amounts falling due after more than one year: £ £
Deferred tax asset 3,049 3,422
Total debtors 392,363 1,176,503
5 Creditors: amounts falling due within one year 2019 2018 £ £
Trade creditors 23,093 29,268 Amounts owed to group undertakings 611,028 678,341 Corporation tax 1,467 - Other taxation and social security 3,173 1,965 Other creditors 839,568 1,381,343
1,478,329 2,090,917
6 Called up share capital 2019 2018 £ £ Ordinary share capital Issued and fully paid 100 Ordinary Shares of £1 each 100 100
7 Related party transactions
Transactions with related parties During the year the company entered into the following transactions with related parties:
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NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2019
7 Related party transactions (Continued)
Related parties are entities in which the beneficial ownership and control is the same as that of the Pet Shop Boys Partnership Limited. During the year, there were various transactions with related parties.
The following disclosures are on an aggregated basis (aggregation of similar transactions by type of transaction or balance).
Included in creditors are amounts owed to the following related parties:
Areagraph Inc, £6,461 (2018: £6,461). There were no transactions during the year.
Cage Music Limited - £604,567 (2018: £671,879) During the year, The Pet Shop Boys Partnership Limited paid £133,012 in expenses on behalf of Cage Music Limited and Cage Music Ltd repaid £65,700 to the company.
During the year, The Pet Shop Boys Partnership Limited paid the directors a total of £20,000 in rent for the usage of the recording studios. This amount is included in cost of sales.
The following amounts were outstanding at the reporting end date:
Included in debtors are amounts due from the following related parties:
X2 Recordings Limited - £30,379 (2018: £69,836) During the period, X2 Recordings Limited paid expenses on behalf of The Pet Shop Boys Partnership Limited of £39,457.
The Pet Shop Boys Partnership Limited assigned the exclusive audio and audio visual recording services of the directors to X2 Recordings Limited. During the period, a licence fee payable by X2 Recordings Limited to The Pet Shop Boys Partnership Limited was £86,246(included in turnover). This was fully paid by X2 Recordings Ltd.
Pet Shop Boys Holdings Limited - £100 (2018: £100) There was no transaction during the year.
Cage Tours LLP - £180,679 (2018: £1,037,783) During the period, the company paid expenses of £507,279 on behalf of Cage Tours LLP. Cage Tours LLP paid expenses of £1,364,383 on behalf of The Pet Shop Boys Partnership Limited during the period. This loan was fully repaid within 9 months of the year end.
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